Business Income Tax Return Filing in India

Income Tax Return is the form in which an assessee files information about his Income and tax thereon to Income Tax Department. Various forms are, ITR 3, ITR 4, ITR 5 and ITR 6 for businessman and professional.

The ITR-3 Form is applicable for individuals or HUFs who have income from proprietary business or are carrying on a profession.

If the requirements of the audit are applicable, the due date of filing of return is 30th September. Otherwise, usually the due date of filing of return for non-audit cases is 31st July.

In case the presumptive method of taxation is applicable (Section 44AD, Section 44ADA and Section 44AE of the Income Tax Act), ITR-4 must be filed.

ITR-4 is applicable where gross turnover is less than Rs 2 crore and for assesses who are carrying out business under presumptive income as per section 44AD. For professionals where gross receipts are less than Rs. 50 Lakh and who are carrying out Profession under presumptive income as per section 44ADA.

Documents Required for Business Tax Return

Document required for filling return

PAN Card

Aadhaar Card

Mobile No./ Email-id

Income details

Income Tax Login Credentials

Return Filing Process

Step 1

Provide your details and get a call back to discuss your tax situation

Step 2

Email your tax documents to the expert upon confirmation of the service

Step 3

Pay taxes to get your return diligently prepared and filed by our expert

For Business Person whose accounts are audited

For Presumptive Return

Frequenlty Asked Questions

ITR stands for Income Tax Return. It is a prescribed form through which the particulars of income earned by a person in a financial year and taxes paid on such income are communicated to the Income-tax Department. It also allows carry -forward of loss and claim refund from income tax department.​Different forms of returns of income are prescribed for filing of returns for different Status and Nature of income.

There are basically two types of return which is to be filed by a professional, either ITR 4 if he chooses for the maintenance and audit of accounts else ITR 4S if he do not choose the same. So, if you are maintaining your books of accounts and getting your accounts audited then you need to file ITR-4 else you have to file ITR 4S using presumptive source of income.

Last date for filing the business and profession income return is normally 31st July of the Assessment Year but if you are required to get your accounts audited, then last date for filing of return of income is 30th September of Assessment Year.

Trading income can be declared as per presumptive taxation as well, if the turnover is less than Rs. 2 crores (Rs. 1 crore till FY 15-16). If you have earned high profits from trading then it is preferable to opt for presumptive taxation and declare 8% (6% from FY 16-17, if receipts are in digital form) of your turnover as income as pay tax on total income as per tax slab rate.

Traders eligible under presumptive tax have the benefit of not maintaining any books of account. However, they are mandated to keep books of account if the income disclosed is less than 8% of gross receipts and the total income exceeds Rs. 250,000 OR the turnover exceeds Rs. 2 crores (Rs. 1 crore till FY 2015-16). In this case, professionals will also be required to get their audit done.